Managing Exemptions
In certain cases, customers may qualify for sales tax exemptions based on various factors like their business type, usage, etc. It is important to collect and maintain valid exemption certificates for these customers.
You can add or update exemption data in Galvix to properly apply exemptions during tax calculations. Without a valid exemption record, Galvix will charge sales tax on transactions, even if the customer is eligible for an exemption.
In Galvix, you can either add Customer-based exemptions that treat transactions from specified customers in the selected jurisdictions as non-taxable and, channel-based exemptions that will only apply to transactions occurring through specific sales channels (e.g., Amazon, Etsy) as non-taxable, regardless of the customer or jurisdiction. You can read more about exemptions through these articles:
1. | Customer-Based Exemptions | Adding Customer-Based Exemptions |
Editing Customer-Based Exemptions | ||
Disabling Customer-Based Exemptions | ||
2. | Channel-Based Exemptions | Adding Channel-Based Exemptions |
Editing Channel-Based Exemptions | ||
Disabling Channel-Based Exemptions |